The Week that Was: Indian Startup News Overview (10th Sept - 16th Sept)
The Indian startup ecosystem consists of Indian startups and investors who specialise in various industries. Not everyone can become a startup entrepreneur, and not everyone is interested in Indian startups. However, knowing about the Indian startup ecosystem is now essential because it is thriving and many people are interested in investing in it. The reason for this is that Indian startups have the potential to grow large, that Indian startups are becoming successful on an international level, and that investors can expect a significant return on their investment.We are now nearing the end of 2022, and we can already see some Indian startups evolving and being recognised globally for their exceptional working business models.
This week was relatively quiet in terms of acquisitions and product launches, with few collaborations. However, fund raising in the indian startup ecosystem made all the noise. We saw Yulu, an electric mobility startup, raise million in funding led by Magna to Pick, an Indian startup that helps digital companies acquire end customers.
Here is the list of top 5 startups that excelled this week…!
Electric mobility startup Yulu said it has raised $82 million (Rs 653 crore) in funding led by US-based Magna International Inc., with existing investors such as Bajaj Auto Limited also participating. The startup will use the funds to scale its mobility & battery-swapping businesses. Yulu said it will also use the funding to increase its two-wheeler electric vehicle (EV) fleet to more than 1 lakh electric and 500 plus battery charging and swapping stations in the next 12 months.
“We see a 100 times growth opportunity for Yulu in both the battery-as-a-mobility (BaaS) and mobility-as-a-service (MaaS) businesses in the next three-four years. Our focus will be to establish a robust and agile supply chain and scale up our operations. We will go deeper in our existing markets and explore new areas” said Amit Gupta, cofounder & CEO of Yulu (Bikes Pvt Ltd).
Yulu has had strategic partnerships with two-wheeler manufacturer Bajaj Auto Ltd on product design, technology platforms, engineering processes, and manufacturing. Its next generation of electric two-wheelers will roll out of Bajaj’s Pune facility by 2022 end.
General Atlantic (GA), Canada Pension Plan Investment Board (CPPIB) and Abu Dhabi Investment Authority (ADIA) are evaluating about $250 million investment in API Holdings, the parent of PharmEasy, said people aware of the development.
The valuation of India’s largest online pharmacy, which has grown aggressively through VC money and 11 acquisitions so far, has dropped and could be at almost half its October 2021 pre-IPO valuation of $5.4 billion at $2.5-2.75 billion. The IPO was withdrawn about three weeks ago.
Existing investors TPG Growth, Prosus Ventures, Temasek and ADQ will invest about $70-80 million in the latest round through a convertible instrument but the valuation and pricing will be set by the new set of investors.
Zetwerk, a business-to-business manufacturing services startup, is in talks to raise $100-125 million in a funding round, valuing the company a notch higher than its last valuation of $2.7 billion, three people with knowledge of the development said.
The company has held talks with funds such as Premji Invest, TCV Partners and Catamaran, the people said, requesting anonymity. The round will be entirely primary fundraising, with the company’s existing investors also topping up, they added. A spokesperson for Zetwerk denied the development. Emailed queries to spokespeople for TCV, Premji Invest and Catamaran, did not elicit any response.
PickMyWork, a startup that assists digital companies to acquire end customers, has raised $1 million in Seed round, led by SOSV's Orbit Startups. The round also witnessed participation from an array of esteemed investors including Soonicorn Ventures, Upaya Social Ventures, Blume Founders Fund, Venture Catalyst, Mumbai Angels, 888 Network, Imperier Holdings and WeFounderCircle.
The round also saw investment from prominent CXOs in the startup ecosystem Akash Gupta, CEO - Zypp Electric, Gaurav Chopra, CEO – India Lends and Prajakt Deolasee, CTO - Turtlemint. The company plans to use the fund in growing its network of agents in various geographies pan India. A part of the raised investment will also be utilised in strengthening the technology backbone which will further increase the efficiency of the distribution.
"With new internet businesses launching every day there is a dire need for a strong distribution pillar to catalyse their growth. It becomes an impossible task for these businesses to penetrate the tier 2 and tier 3 markets where there is still a grave need for assistance as these geographies gradually adapt to the digital world. PickMyWork is bridging this gap for various businesses, while simultaneously creating income sources.